All articles tagged with #investment contract
Coinbase is seeking an interlocutory appeal to address a core legal question in its dispute with the SEC: whether a digital asset transaction with no post-sale obligations constitutes an investment contract under the Howey Test. The SEC opposes the appeal, arguing Coinbase lacks legal grounds. The outcome could impact broader SEC enforcement actions in the crypto industry.
Crypto lawyer Jesse Hynes predicts that the Ripple-SEC lawsuit resolution may be imminent and that early XRP sales will be found to have broken securities laws, establishing a precedent for the SEC to go after other crypto businesses. He believes the court will decide that Ripple is no longer violating securities laws with its current sales, but the question of whether XRP is a security in and of itself remains unanswered. Other experts note the complexity of the U.S. regulatory and legal systems and the possibility of the SEC winning the litigation even if Ripple is in the right.